A legal battle between Microsoft and the maker of third party peripheral products for the Xbox 360 console has now been concluded. Bloomberg reports that Microsoft has settled its case with UK-based Datel Design and Development Inc. on December 30. Details of the settlement were not revealed but a spokesperson at Microsoft said the terms of the deal were approved "to the satisfaction of both parties."

The original dispute started in 2009 when Datel sued Microsoft, claiming that one of its Xbox 360 software updates had eliminated support for Datel's third party Max Memory cards. Datel claimed that Microsoft's move was an example of "predatory conduct".

Microsoft then decided to sue Datel in 2010, claiming that Datel had violated one of Microsoft's patents for a wireless protocol used by Xbox 360 controllers. Microsoft accused Datel of infringing that patent with the release of Datel's Turbofire and WildFire controllers.

Microsoft later withdrew its lawsuit after Datel redesigned the controllers and also stopped the import of the TurboFire2 Xbox 360 Wireless controller into the US. However, until the recent settlement, Microsoft continued to ask for compensation for the alleged past infringement.